REG - Seraphim Space I.T. - Interim Results

Seraphim Space Investment TrustAnnouncement

13/03/2025 07:15

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250313:nRSM4553Aa&default-theme=true

RNS Number : 4553A  Seraphim Space Investment Trust PLC  13 March 2025

SERAPHIM SPACE INVESTMENT TRUST PLC

(the 'Company' or 'SSIT')

Interim Results

Seraphim Space Investment Trust plc (LSE: SSIT), the world's first listed
SpaceTech investment company, announces its interim results for the six-month
period ended 31 December 2024 (the 'Period').

The interim report can be found here
(https://investors.seraphim.vc/results/documents/interim-report-fullto-31-december-2024/)
. A summary is set out below.

Will Whitehorn, Chair of Seraphim Space Investment Trust plc,
commented: 'Amidst the current tumultuous times on the global front, one
thing stands clear: that space will increasingly be at the forefront of
government defence spending in both the US and Europe.

The new US administration has signalled its enthusiasm for innovative
commercial providers to drive both the lofty ambitions for manned missions to
Mars and greater efficiency in defence spending.

At the same time, the uncertainty around the US's willingness to continue
supporting European security, including in the conflict in Ukraine, is
spurring European nations into increasing defence spending to levels not seen
in decades. The prospect of Europe potentially no longer being able to rely on
the US's intelligence and communications capabilities for its security plays
directly to the pressing need for Europe to develop more sovereign space
capabilities as quickly as possible.

Our portfolio is positioned to play a key role in this. Our three biggest
holdings, ICEYE, D-Orbit and ALL.SPACE, are all European companies with
world-leading capabilities that are already being procured by departments of
defence in both Europe and the US.

Notwithstanding the turbulence in world events and the resulting volatility in
public markets, we anticipate that the year ahead should be one of great
opportunity for our portfolio.'

Financial Summary

                            31 December  30 June   Change  31 December 2023  Change

2024
                            2024
 NAV                        £239.7m      £228.1m   5.1%    £224.3m           6.8%
 NAV per share              101.04p      96.18p    5.1%    94.57p            6.8%
 Portfolio valuation        £216.3m      £201.5m   7.3%    £198.0m           9.3%
 Fair value vs. cost        112.0%       104.7%    730bp   101.0%            1090bp
 Liquid resources           £23.6m       £27.0m    -12.5%  £26.8m            -11.9%
 Market capitalisation      £129.0m      £129.5m   -0.4%   £81.6m            58.1%
 Share price                54.4p        54.6p     -0.4%   34.4p             58.1%
 -Discount/+premium         -46.2%       -43.2%    -300bp  -63.6%            1740bp
 Ongoing charges            1.70%        1.83%     -13bp   1.90%             -20bp
 Number of shares in issue  237.2m       237.2m    0.0%    237.2m            0.0%

Financial Highlights

·      An increase in the fair value of the portfolio of £14.1m was the
primary driver of a net asset increase of 5.1%, from £228.1m at 30 June 2024
to £239.7m at 31 December 2024. Key drivers of the fair value increase were
an increase in the fair value of ICEYE, driven by market comparables and
continued strong performance, and Skylo, driven by a funding round, and
increases in the share prices of listed holdings.

·      Half of the portfolio representing 71% of fair value has robust
cash runway (fully funded or has over 12 months of cash runway), with the
companies that are not fully funded averaging 9 months of cash runway.

·      During the Period, the Company invested £5.1m through follow-on
investments into four existing portfolio assets, ALL.SPACE, Xona Space
Systems, ChAI and Skylo.

·      As at 31 December 2024, the Trust had £23.6m of cash reserves
(30 June 2024: £27.0m), with a further £14.1m of potential liquidity via
holdings in listed companies.

Portfolio Funding Developments

·      ICEYE (21.9%of NAV) closed a $65m extension to its post-Series D
growth financing round led by Solidium, bringing the round total to $158m.

·      ALL.SPACE (11.9% NAV) announced a $44m fundraising led by BOKA
Group and with participation by SSIT.

·      Pixxel (1.5%of NAV) closed a $24m extension to its Series B
financing round led by M&G Investments and Glade Brook Capital.

·      SatVu (4.7% of NAV) announced a new £10m interim funding round
led by new investor Adara Ventures and existing investor Molten Ventures.

·      D-Orbit (13.5% of NAV) announced a second and final close of its
€150m Series D growth financing round led by Marubeni.

Major Milestones

·      D-Orbit (13.5% of NAV) signed a €120m contract with the
European Space Agency to develop servicing capabilities for GEO satellites.

·      Tomorrow.io (1.7% of NAV) successfully launched and commissioned
the second batch of its two microwave sounder satellites.

·      HawkEye 360 (9.2% of NAV) successfully launched its 11th cluster
of satellites, further building its constellation and capabilities.

·      AST SpaceMobile (3.1% of NAV) successfully deployed and
commissioned its first five commercial satellites and reported cash reserves
of over $500m for the quarter ended September 2024.

Post Period Highlights

·      In January 2025, Voyager rebranded as Voyager Technologies
(previously Voyager Space) and submitted a S1 filing to the US Securities and
Exchange Commission for a planned IPO later this year. Quantum and pricing are
yet to be announced.

·      Pixxel successfully launched the first three satellites of its
hyperspectral constellation. Once operational, this will provide the highest
resolution hyperspectral imaging commercially available today.

·      Skylo's commercial partner Verizon launched the first mobile
phones with Skylo satellite connectivity in the US market.

·      Astroscale signed a JPY12bn (c.$78m) binding contract with a
Japanese government customer to develop its in-space refuelling capabilities.

·      AST SpaceMobile obtained a temporary license from the US Federal
Communications Commission for initial operations with partners AT&T and
Verizon.

·      Having previously announced the sale of its maritime business
unit for $241m, on 11 February 2025, Spire Global made an SEC filing
disclosing that Kpler, the prospective buyer, had failed to consummate the
transaction despite all closing conditions being met. As a result, Spire
Global has commenced legal action against Kpler.

Transactions Completed During the Period

 Company             Segment   HQ  Type       Cost

£m
 ALL.SPACE           Downlink  UK  Follow-on  3.8
 Xona Space Systems  Platform  US  Follow-on  0.8
 ChAI                Product   UK  Follow-on  0.3
 Skylo               Downlink  US  Follow-on  0.2

Mark Boggett, Chief Executive Officer, Seraphim Space Manager LLP, said: 'The
global SpaceTech sector continues to significantly outperform the global
technology VC market. Evidence of the growth trajectory has strengthened
during the Period, with our portfolio successfully securing nearly $400
million in additional capital, including two of the top 10 globally funded
deals for CY24.

Valuations remain robust, with two-thirds of priced rounds either flat or up
compared to previous rounds. Notably, half of the portfolio representing 71%
of fair value is now fully funded or has over 12 months of cash runway, with
the companies that are not fully funded averaging 9 months of cash runway.
Additionally, we have also seen further recovery in the share prices of listed
portfolio companies which has contributed to the overall 5.1% NAV increase
over the six months ended 31 December 2024.

The next 12 months will be significantly influenced by the new US
administration's policies, particularly concerning tariffs and European
security. Ongoing global challenges in Israel and Ukraine must be addressed,
and the resulting geopolitical shifts will have lasting consequences. Europe
and NATO are especially compelled to tackle their historical defence
under-investment. This generational transformation in defence spending,
coupled with revised procurement practices favouring SMEs and a strong
emphasis on digitisation and AI integration, will undoubtedly benefit 'new
space' companies.

While space has long supported global security through GNSS (navigation),
SIGINT (signal intelligence), satellite imagery and satcoms, the
ultra-low-cost, ultra-high-resolution, AI-enabled capabilities of 'new space'
firms are creating new demands in the defence sector.

Overall, the SSIT portfolio is well-positioned, with unique capabilities that
align with defence customer needs, ensuring it is well-capitalised for strong
performance in CY25.

With £23.5m of liquid resources and a further £14.1m of potential liquidity
via holdings in listed companies at the Period end, we believe that SSIT
continues to have adequate reserves to continue to support the existing
portfolio whilst also continuing to selectively seek exceptional new
investment opportunities.'

Analyst and Investor Presentations

There will be a webinar for equity analysts at 09:30 am (UK time) today and an
online presentation for retail investors at 11:00am (UK time) today. To
register for either event, please contact SEC Newgate by email
at seraphim@secnewgate.co.uk.

Both presentations will be hosted by the Chair, Will Whitehorn, and Seraphim
Space Manager LLP's CEO, Mark Boggett, CIO, James Bruegger, and COO, Sarah
Shackleton.

- Ends -

Media Enquiries

 Seraphim Space Manager LLP (via SEC Newgate)
 Mark Boggett, CEO / James Bruegger, CIO / Rob Desborough
 SEC Newgate (Communications advisers)                      seraphim@secnewgate.co.uk
 Clotilde Gros / George Esmond / Harry Handyside            +44 (0) 20 3757 6767
 Deutsche Numis
 Mark Hankinson / Nathan Brown / David Benda / Vicki Paine  +44 (0) 20 7545 8000
 J.P. Morgan Cazenove
 William Simmonds / Jérémie Birnbaum / Rupert Budge         +44 (0) 20 7742 4000
 Ocorian Administration (UK) Limited                        seraphimteam@ocorian.com
 Lorna Zimny                                                +44 (0) 28 9078 5880

Notes to Editors

About Seraphim Space Investment Trust plc

Seraphim Space Investment Trust plc (the 'Company') is the world's first
listed fund focused on SpaceTech. The Company seeks exposure predominantly to
growth stage private financed SpaceTech businesses that have the potential to
dominate globally and that are sector leaders with first mover advantages in
areas such as climate, communications, mobility and cyber security.

The Company is listed on the Premium Segment of the London Stock Exchange.

Further information is available at: https://investors.seraphim.vc
(https://investors.seraphim.vc/) .

About Seraphim Space Manager LLP

Seraphim Space Manager LLP ('Seraphim Space' or the 'Manager') is based in the
UK and manages Seraphim Space Investment Trust plc.

Further information is available at www.seraphim.vc (http://www.seraphim.vc/)
.

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  DOCBIGDXCXBDGUD